Retail sales crater a record 16.4% in April amid coronavirus lockdowns and spending slump

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Retail sales crater a record 16.4% in April amid coronavirus lockdowns and spending slump
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Sales at U.S. retailers sank a record 16.4% in April after coronavirus lockdowns shuttered much of the economy. Retail sales tumbled in every category except online shopping, the government said Friday.

The numbers: Sales at U.S. retailers sank a record 16.4% in April after coronavirus lockdowns shuttered much of the economy, cost millions of jobs and spawned an unprecedented slump in consumer spending.

Even if those two categories are set aside, the damage was almost unfathomable. Sales excluding gas and autos — two of the largest sources of retail spending — sales sank 16.2%. A few retailers stood out. Home centers such as Home Depot HD, +2.06% and Lowe’s L, +2.47%, which remained open, only recorded a 3.5% decline.

It’s worth noting that the government’s effort to track sales was hindered by so many stores being closed. But even if its sales estimate is somewhat off, there’s no doubt that retailers just suffered their worst month since the government first began keeping track in 1967.Big picture: Plunging retail sales came as no surprise, but the depth of the drop was still shocking. It was four times as large as the biggest decline during the 2007-09 2007-09 recession.

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